Rate Hike at National Bank of Ukraine
December 10, 2021
officials at the National Bank of Ukraine chimed in with their fifth rate hike of 2021, a 50-basis point increase to 9.0% that follows 250 basis points of tightening from the four earlier moves. In a released statement, the Executive Board acknowledges a bigger global wave of inflationary pressures and a slower-than-assumed decline of inflation in Ukraine that at 10.3% last month was just 0.7 percentage points south of September’s peak and over five percentage points above the 5% medium-term target, which coincidentally matched the actual inflation rate at the end of 2020. Officials are worried about inflationary expectations creeping higher and do not rule out more hikes in the near future as they try to reimpose in-target price stability.
Copyright 2021, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: National Bank of Ukraine
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